Singer and former X Factor judge Tulisa Contostavlos has been released on bail following her arrest on suspicion of supplying Class A drugs.

A Metropolitan Police spokesman said the 24-year-old and her 35-year-old friend, rapper Mike GLC who was arrested on suspicion of the same offence, had been bailed to a date in July, and that two residential properties had been searched as part of their investigation.

Speaking from outside Belgravia police station in central London, Mike GLC denied being a drug dealer and said both of them were innocent.

The musician said: "We are innocent. We haven't been charged."

He added: "The truth will come out in the end. I don't want to go into much more detail.

"I am going home to be with my family. This is ruining my life. I am not a drug dealer. I have never sold drugs in my life."

Contostavlos joined The X Factor in 2011

Their arrests on Tuesday came a day after police confirmed they had "received information concerning the alleged supply of illegal drugs at a central London location".

That followed a report in a tabloid newspaper suggesting Contostavlos acted as a go-between by introducing a journalist to an alleged supplier.

The singer is said to have boasted to the reporter: "Half my phone book sells it. Of course I can get it for you. Half the guys I know are drug dealers."

The Sun On Sunday claimed half an ounce of cocaine changed hands following a deal that took place at London's Dorchester Hotel.

A spokesman for Contostavlos declined to comment on her arrest.

The singer, who found fame with the band N-Dubz, was recently dropped as a judge on The X Factor after two series.

Confirming the decision on Twitter, she wrote: "Just wanted to let you all know that I won't be part of the X Factor panel this year.

"I've had a great time on the show, but this year it's time to do something different.

"I'd like to thank everyone on The X Factor for two amazing years. Stay tuned as I have a very exciting announcement soon."

Contostavlos scored a number one hit with her debut single Young in 2012, as well as three top 10 singles during her time in N-Dubz.